By Andrew M Spencer — Feb 02 - 07:35 PM
-0.15% after falling 0.85% on USD strength as European yields slid
Central banks believe inflation is coming under control - do the RBA?
Recent data showed CPI above expectations, but retail sales slumped
Mixed signals for the RBA - RBAWATCH prices 25pt Feb 7 hike at 88.65%
Another 25 pt hike expected in April, but not fully priced until May
RBA too dovish as inflation built, they need to be confident to end hikes
Charts; momentum studies flat line, 21 day Bollinger bands contract
10 & 21 daily and weekly moving averages climb - net positive setup
For more click on FXBUZ
Source:
Refinitiv IFR Research/Market Commentary